ADN Madeira has called for the full publication of the economic and financial study supporting Funchal’s proposed tourist tax increase from €2 to €4 per person, per night. In a statement issued on Sunday, the party argued that the increase requires clear justification, particularly at a time when official indicators point to job losses and signs of a slowdown in important segments of regional tourism.
The proposal was unanimously approved by Funchal City Council on Thursday and will undergo 30 days of public consultation. The municipality intends to introduce the new rate in January 2027. ADN stressed that the available figures do not indicate a widespread decline in Madeira’s tourism industry, but argued that the authorities must consider the complete picture.
The party wants the study to explain the municipal cost attributable to each tourist overnight stay, which services and infrastructure justify doubling the tax, and the anticipated impact on demand, average length of stay and competitiveness. It also called for details of how existing tourist tax revenue has been spent, the results achieved for residents and visitors, and whether the current 2.5% payment to the organisations responsible for collecting the tax will remain in place.
